Difficult Week Ahead For The Euro

On last week’s blog we reported that the Pound was at around the 1.16 levels against the Euro – this week we are starting in a much brighter position with the rate up to 1.20. This is great news for anyone UK based who might be purchasing property or moving funds over to Europe.

Will these kind of levels last? The main reason for the weakening Euro has been ongoing concerns regarding the sovereign debt issues that refuse to go away. It has been reported in the press that Portugal is steadily shaping up to be the next nation after Ireland that will require – or may be forced to accept – EU rescue funds to shore up the failing economy. This, alongside a series of bond auctions due in Italy, Spain and Portugal throughout this week, are dragging the Euro down. The bond auctions this week are expected to show that demand has diminished for European assets and have the potential to pull the Euro down further. If you have any foreign exchange transfers to make involving the Euro therefore, it is advisable to get in touch with me at Currency Solutions to find out how you can either minimise losses or maximise gains this week by booking the transfer at the right time as well as choosing the best transfer option.

For further advice or how to save thousands on your property purchase compared to the bank, protect yourself from currency movements or set up regular mortgage transfers, get in touch with the dedicated Property Secrets currency specialist: Nigel Hodges of Currency Solutions on +44 (0) 207 740 0000 or by clicking HERE to leave an enquiry.